Hedging is a very useful tool for producers. Unfortunately, unless there's a program in place to help us offset the cost, it comes with the risk of rising prices for producers in the ensuing cash calls that can be had on the market. Therefore, we can be in a position where we would hedge 75% of our production, yet prices continue to appreciate. Then we get a cash call from a broker that again, puts us in a working capital crunch, so any type of program that would help us ensure that we offset the cost of that margining would be beneficial.
On May 4th, 2017. See this statement in context.